Why should you not take out a second mortgage?

Question

Quizplus · Accepted Answer

Taking out a second mortgage will create an additional claim against the value of your home, which means that in case of default, the second mortgage lender will get paid after the first mortgage lender gets paid. This can increase the risk of foreclosure and loss of the home.

Answer: D 
 Taking out a second mortgage can come with significant overhead costs, such as origination fees, appraisal fees, title fees, and closing costs. These fees can add up to a considerable amount and increase the overall cost of the loan.

Why Should You Not Take Out a Second Mortgage